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Asking A Guest to Leave The Premises and Bias

How The Starbucks Incident Five Years Ago Changed The Hospitality Industry

By Robert Schnitz Head of Hospitality Practice & Partner, Kabat Chapman & Ozmer LLP | June 2024

It has been over five years since a Starbucks location in Philadelphia attracted national attention when two customers were removed from the premises inhandcuffs by police officers.

The incident highlighted the role that bias can play in providing or denying service to customers and challenged the norms and protocols that existed for decades for operators and managers in deciding to remove a guest from the premises.

This article will examine the legal rights of hospitality managers and owners to remove guests from the premises, how the 2018 Starbuck’s incident reflects societal changes that impact those rights and significantly raise the stakes of a decision to remove a guest from the premises, and steps a hospitality manager should consider to minimize the potential impact of bias when serving guests.

An Establishment’s Right to Ask a Guest to Leave the Premises

The right of a property owner to remove a trespasser from the premises is well established in the common law. Indeed, menacing “NO TRESPASSING” and “KEEP OUT” signs are a common sight in the United States. These signs serve the dual purpose of dissuading would be trespassers and providing a legal notice to evict anyone choosing to enter the premises. Obviously, such a sign is both inappropriate and counter-productive in a hospitality setting. Hospitality establishments invite people on the premises and aim to be welcoming places. Yet, there are limits to that invitation and the common law has long provided hospitality businesses with the right as private property owners and managers to revoke the invitation and remove a guest for a variety of reasons.

For example, most of us are familiar with the signs expressly limiting or conditioning entry to the premises in the first instance, such as signs stating “No Shoes. No Shirt. No Service” and “We Reserve the Right to Refuse Service to Anyone.” Likewise, the common law has long provided hospitality businesses with the right to evict lawfully invited guests for a variety of reasons including the failure to pay, drunkenness, loitering and disruptive, threatening, or insulting behavior to name a few.

A key issue in a trespass situation is understanding the nature and scope of the invitation to the guest. Historically many hospitality operators and managers have operated under the premise that guests are invited on the premises to purchase goods and services and therefore if that person is not making a purchase, the property manager should be free to revoke the invitation and ask that person to leave the premises even if they are not otherwise engaging in disruptive conduct or interfering with operations. In fact, it has not been an uncommon practice for a property manager or owner to remove non-purchasing patrons from the premises and to contact law enforcement to obtain assistance in removing a patron who refused to leave.

Many hospitality operators had - and still have - protocols to ask guests who are not purchasing goods or services to leave the premises. There are legitimate reasons for this p such as a desire to keep seating open for paying guests, to prevent loitering, or for general safety purposes. Even absent such reasons, the common law of trespass may not require the showing of anything more than a proper revocation of an invitation to a guest who was not making a purchase.

Discrimination Laws and Trespassing

The Civil Rights Acts of 1964 (Title II) created a significant change in trespass enforcement because the law prohibits discrimination in lodging and restaurant establishments based upon race, color, national origin, or religion. Many states enacted similar laws in the sixty years since the landmark law went into effect. Since then, removing a guest from a hotel or restaurant due to guest’s race became an unlawful practice nationally and provided a legal basis to question whether race, color, national origin, or religion was a motivating factor for asking a guest to leave. For anyone familiar with this country’s civil rights history, the images of Black citizens being pulled away from lunch counters by police officers is but one gruesome reminder of the reasons behind the law’s enactment and highlights the deep connection between historic discrimination in hospitality establishments and the civil rights laws.

In addition to these blatant examples of denying a guest service due to race are the more subtle situations when a guest is asked to leave the premises and race is suspected as a motivating factor. In these common scenarios a guest might question if the purported reason for removal is justified or if it is being applied equitably. Even with the rise of anti-discrimination laws in the 1960’s and the decades thereafter, the impact on hospitality practices in these more subtle situations is questionable. Courts have regularly upheld the removal of customers and guests from hotels and restaurants despite claims of discrimination.

In short, courts have repeatedly found that plaintiffs failed to meet the burden of proof to find that race, color, or national origin was a motivating factor in the trespass removal and instead found that the hospitality manager or owner’s invitation to the guest had been properly revoked. Part of the reason for the limited impact may be that Title II does not provide significant financial motivation for many potential victims or lawyers to pursue such claims since the statute severely limits damage recovery.

Two black men were arrested on suspicion of trespassing in a Philadelphia Starbucks in 2018. Image courtesy of New York Times.

Cell-Phone Videos, Social Media & Racial Justice

So, why did the Starbucks incident become a flashpoint for racial bias in service establishments nearly 55 years after Title II was passed? Various factors converged to trigger a viral moment setting in motion a wave of attention and concern over bias and discriminatory conduct in the hospitality industry and elsewhere.

First, when the incident occurred in 2018, several shocking and violent police brutality incidents had flooded the news and social media. Most significant were the Laquan McDonald killing in Chicago and the Michael Brown killing in Ferguson, Missouri. The Black Lives Matter movement had become well known. Accordingly, public attention focused on bias in the treatment of people of color by law enforcement and others.

Second, the facts of the Starbucks incident separated it from other less intriguing guest removal scenarios. The Starbucks location didn’t merely ask two Black male guests to leave, it summoned law enforcement, who then arrested and handcuffed the two men. The incident was captured on video recording showing police handcuffing the guests without any noticeable resistance or disruption. In fact, the two men can be described as calm while customers can be heard questioning the police about the reason for the arrest.

Third, and most significant for Starbucks’ business, the video was uploaded on social media and viewed by millions. As a result, Starbucks faced a firestorm of criticism, issued an apology, and eventually closed 8,000 locations for several hours on one day to conduct implicit bias training. Since the incident, Starbucks and hundreds of other companies have found themselves on the wrong side of social media and news stories about unfair and callous treatment, further highlighting the persistent nature of this issue.

Significantly, it was not a lawsuit that led to a massive outcry against Starbucks and other companies regarding bias in service establishments. Rather, it was social media and hand-held technology that fueled the explosive nature of the Starbucks incident. The ability to post video clips and generate an echo chamber of loud voices reaching millions of people within a short amount of time created a vehicle for aggrieved people to bring enormous pressure to bear on a hotel or restaurant, especially a national brand with reputational concerns. This powerful combination of tools simply did not exist in the 20th century.

Unseemly guest removal scenarios were no doubt happening at many businesses for decades prior to 2018, but usually avoided notoriety before the ready availability of smart phones and social media. The longstanding warning to conduct oneself appropriately or read about your company on the front page of the New York Times has been replaced by the concern that your company would become the subject matter of a viral social media video or tidal wave of verbal criticism on social media channels. Thus, the proliferation of such technologies in the 21st century has played a key role in shining a light on discrimination where the civil rights laws and mainstream media had yet to trigger.

Changing the Invitation - The Rise of “Third Spaces”

The outrage associated with the video images at a time when public awareness around police brutality was high does not likely fully explain the reason for significant impact of this incident. Afterall, Black customers had endured similar treatment repeatedly even after Title II was passed and courts had repeatedly found that property managers were within their rights in asking those patrons to leave. One key to understanding the change lies in the question that many were asking on social media at the time of the incident - “What did the men do to deserve such treatment? They weren’t doing anything except sitting and relaxing at a Starbucks restaurant just like everyone else.” Embedded in that common question and observation is the notion that people have an expectation that they are allowed to “hang out” at a coffee shop, restaurant, or hotel regardless of whether they are buying goods or services. This assumption goes to the heart of the legal issue of understanding the nature of the invitation to the public to enter the premises and reflects a notable change in perception over the past several decades.

The rise of Starbucks locations is likely a primary catalyst for this change in perception by creating spaces for guests to “hang out” and even encouraging that behavior. In the 1990’s Starbucks even adopted the phrase “third space” coined by sociologist Ray Oldenburg to describe the environment in their stores. Generally, a third space is an informal place other than home (first space) or work (second space) where people can gather.

By 2018 the public had become accustomed to the practice of third spaces as they had become the norm in many coffee shops, restaurants, and hotel lobbies where Wi-Fi connections were touted, and comfortable furniture and power outlets were installed. In fact, many hotels and restaurants offered third spaces to its guest well before the 1990s. Hotel lobbies in major cities have long been seen as places for people to relax, meet friends and catch up on the news or email. Security personnel at these hotels are often fully aware that non-paying persons are resting in the lobby and do not have a practice in place of questioning each person about whether they are conducting business on the premises.

Furthermore, there are common law cases which find that hotels have a duty to permit even a non-paying person to take refuge at a hotel if safety or security is an issue. This principle likely applies today with a minor or potential human trafficking or domestic violence victim seeking refuge. However, it appears the public had not adopted the third space concept as the norm for most hospitality businesses open to the public until closer to the 2010’s.

Despite the Starbucks incident in Philadelphia, similar incidents have been reported repeatedly since that time, including at other Starbucks locations. In addition to conducting bias training, Starbucks also announced a new policy that any person who walks into their stores would be treated as a customer regardless of whether they are purchasing an item. This policy in effect reflects both the public’s perception of the meaning of a third space and the increased burden on Starbucks to establish a lawful basis to remove a guest from the premises. Starbucks store signage now regularly references this policy and explains that guests are expected to act in a respectful and non-disruptive manner.

Take Action to Address Bias and Prevent the Questionable Removal of a Guest

What can hospitality operators and owners do to minimize the impact of bias in daily service decisions? First, every business should understand the nature and scope of its invitation to the public to enter the premises and the perception that the public may have regarding that invitation. A hotel or restaurant in a suburban drive-up location is intuitively different than an urban location with walk-in traffic. And a coffee shop with Wi-fi is different than a busy restaurant with table service. Private property owners still have the right to revoke an invitation to enter the premises, but doing so when the circumstances are, or appear to be, inconsistent with a property’s characteristics is more likely to lead to mistrust and bias claims.

Second, consider the circumstances when it is appropriate to ask a guest to leave the premises and train managers and security personnel on how to initiate and conduct a trespass decision in order to ensure professional conduct and create consistency. Consider whether involving the police is necessary or if it will be perceived as excessive and threatening.

Third, consider whether bias could be playing a role in the decision and work to diffuse such situations. If there is a concern that bias may be impacting a decision, consider handing the decision off to another manager and be willing to be flexible in decision making. If allegations of bias arise try to avoid defensive or accusatory behavior and focus on guest service recovery and restorative practices.

Fourth, provide anti-bias training for your employees, especially guest-facing positions. Raising awareness about implicit bias and learning how to manage bias in the service setting is a key to avoiding future disputes and creating higher customer satisfaction.

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If you choose to purchase a subscription, member subscription payments can be made in U.S. Dollars, as well as a variety of international currencies. Membership terms are Annual Recurring, and Monthly Recurring. The Annual Recurring subscription is an annual commitment and subscribers will be charged each consecutive billing cycle. Annual Recurring subscriptions can be cancelled after the first billing cycle and within 30-days of the billing date for a full refund. Monthly Recurring subscriptions are ongoing and subscribers will be charged each consecutive monthly billing cycle. Monthly Recurring subscriptions can be cancelled after the first month and within 7 days of the monthly billing cycle for a full refund.

12. PAYMENT AUTHORIZATION

Payment for the services provided to you in, at, through or in association with HotelExecutive may be made by automatic credit card, debit card, direct debit, bankwire or Paypal and other approved payment means offered in, at, through or in association with HotelExecutive, and you hereby authorize HotelExecutive and its agents to transact such payments on your behalf.

You hereby authorize HotelExecutive's Internet Payment Service Provider to charge your credit card to pay for your membership to HotelExecutive. You further authorize HotelExecutive's Internet Payment Service Provider to charge your credit card for any and all purchases of products, services in association with HotelExecutive. You agree to be personally liable for all charges incurred by you in association with your access or other use of any content provided by HotelExecutive or any third party in association with HotelExecutive. You acknowledge and agree that your liability for all such charges shall continue after termination of your access or any type of membership arrangement with HotelExecutive.

In the event that you have chosen to have your membership automatically rebilled, unless and until you notify HotelExecutive that you wish to cancel or terminate your membership to HotelExecutive, you hereby agree and authorize HotelExecutive's Internet Payment Service Provider to automatically renew your membership to HotelExecutive on a continuing basis and to charge your credit card (or other payment means you have selected) to pay for the ongoing cost of your membership. You hereby further authorize HotelExecutive's Internet Payment Service Provider to charge your credit card (or other approved payment means you have selected) for any and all purchases of products, services and entertainment provided to in, at, through or in association with HotelExecutive.

13. PRIVACY POLICY

The following is the Privacy Policy for HotelExecutive

We can be reached via telephone, email, or online at our contact page. When you visit our site we do not log any information regarding your domain or email address. Information Sharing: We do not share user information with any third parties other than via press release distribution as described below.

Hotel Newswire is a newswire service that distributes press releases on behalf of our users. If you decide to submit a press release for distribution through our system we will transmit your entire press release including any personal information therein contained to our media contacts and online distribution points including search engines. This is the only redistribution of your information that we engage in. Your submission of press releases through our system indicates consent with this policy. The information we collect during your registration process is used to notify users about updates to our service and inform users of any special events hosted by Hotel Newswire. This information is not shared with other organizations for commercial or non-commercial purposes.

Cookies: Our system requires the use of cookies to enable the user to log back into our website to access information from the newswire, without having to log in each time using the required username and password.

If you do not want to receive email from us in the future, please let us know by following instructions included in our communication with you. Users who supply us with telephone numbers online may receive telephone contact from us regarding their account, or informing them of new products and services available on the HotelExecutive website. If you do not wish to receive such telephone calls, please edit your account and remove your phone number from your account profile. This can be done from your user account menu.

Ad Servers: We do not partner with or have any relationship with any ad server companies. From time to time, we may use customer information for new uses not previously disclosed in our privacy notice. If our information practices change at any time, we will post the policy changes to our website to notify you of these changes and provide you with the ability to opt out of these new uses. If you are concerned about how your information is used, you should check back at our website periodically.

Upon request we provide site visitors with access to all information (including proprietary information) that we maintain about them. Users can access this information by logging in to their account.

Security: We always use industry-standard encryption technologies while transferring and receiving user data exchanged with our site. We have appropriate security measures in place in our physical facilities to protect against the loss, misuse, or alteration of information that we have collected from you on our site. We do not store credit card information in our systems.

If you feel that this site is not following its stated information policy, you may contact us.

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Coming up in March 1970...